Legal fees, marketing costs, the removal bill – selling a house certainly doesn’t come cheaply these days.
That’s especially the case when you add up all those ‘little’ extras, such as having to get an EPC certificate, early mortgage repayment fees and the cost of buying materials to get the house looking ship-shape, such as paint, varnish and even new cushions and flowers etc.
Then there is the hassle, the stress and the waiting around to find a buyer. You can see why some people choose to stay put…
But if you’re thinking of selling your home then read on. In this post we’ll go through all the individual costs of selling a property. And the biggest cost of all is, of course, estate agent fees. Even if you go down the route of online estate agents, you are still going to be forking out quite a bit of money just to get buyers interested.
When it comes to how much it’ll cost, your standard ‘high street’ estate agent will look for a percentage of the sale price of your home– usually around 1.5 to 2 per cent (although it can be as much as 3 per cent, depending on your property and which estate agent you choose). When you consider that today’s average property is around £250,000, 1.5% of this is£3,750. Then there is the VAT on top. As we said, selling doesn’t come cheaply…
Using an online estate agent usually means agreeing to pay a fixed sum upfront and which can be less expensive (typically £800-£1800 inc VAT). Except, it can mean that even if they don’t manage to sell your property, you won’t get your money back (because you’ve already paid for their services).Your online estate agent won’t want that though because it doesn’t look good. So, in order to make a sale they may sell your property for much less than it’s worth.
You will obviously want everything to be above board when you sell, meaning you’ll be paying solicitor (or conveyancer) fees. These can range from £500 to £2000 and, like the high street estate agent, can be a flat fee or a percentage of the sale of your home. Additional costs here ie not included in the conveyancing ‘work’ include £12 for a copy of title deeds, £8 for a money-laundering check (per buyer) and up to £50 for the bank transfer fee.
You can’t sell or rent a house in the UK these days without having an EPC. This tells buyers or tenants how energy efficient your property is. The cost of this ranges from £50 to £120 depending on where you live, but it must be carried out by a registered assessor. It last for 10 years.
Bring in a removal company and you’ll be looking at costs ranging from £70 to £1500, depending, of course, on how far you’re moving and how many possessions you’re taking with you. If you hire a van yourself and do the work it’ll obviously be cheaper. It will also cost less if you do the packing yourself.
Re-mortgaging for another home can often mean having to pay a mortgage exit fee on your existing loan. This could be anything from £50 to £300. There may also be an early repayment charge for your mortgage(typically 1.5% on the existing loan amount). These are costs that sellers typically forget about, but they can really add up.
You can clean your home yourself, of course, provided you are able to. If not, a professional clean can set you back by£150, including a thorough oven scrub.
It may be that you’ve repairs you have been meaning to make for months or, even years now. The cost of materials can certainly jump up your DIY bill. Getting a damp proofing course on a small wall can come in at £800, new taps and a shower can be up to £100. To get your house repainted professionally you could be talking of between £500 to £2,000.